Tenants in Germany: Guarantee Instead of Deposit

Many tenants in Germany face the question whether a guarantee instead of a cash deposit is possible and how to lawfully reclaim it after the tenancy ends. This guide explains in plain language which rights and deadlines apply, which documents you should collect and which steps are possible in court. It is aimed at tenants without legal expertise and shows practical sample actions, examples for letters to the landlord and notes on competent courts. At the end you will find a compact checklist and a step-by-step guide for timely action.

What does "guarantee instead of deposit" mean?

A guarantee means that a third person (guarantor) is liable to the landlord for possible claims from the tenancy. Instead of depositing money in a deposit account, a guarantee agreement is concluded. As a tenant you should check whether the form of security is clearly regulated in the tenancy agreement and whether the guarantee is limited in time and content.

Rights, deadlines and legal basis

Scope of liability, duration and form of the guarantee follow from the contract and the statutory rules of tenancy law. Important legal provisions are found in the German Civil Code (BGB)^[1]. For court proceedings the rules of the Code of Civil Procedure (ZPO)^[2] apply, for example in lawsuits for reclaiming or eviction suits.

When can you reclaim the guarantee?

Once all rental claims have been settled (rent, service charge statement, possible claims for damages), you can request the release of the guarantee. Landlords may only keep a guarantee as long as justified claims exist. Request the release in writing and, if necessary, a detailed statement of outstanding claims.

Which deadlines are important?

• Check deadlines (deadline): Clarify by when landlords must prepare service charge statements; often a 12-month deadline applies.
• Send written request (form): Give the landlord a clear deadline to release, e.g. 14 days after submission of all statements.
• Collect evidence (evidence): Include all handover protocols, photos and payment receipts.

Practical checklist for reclaiming

• Prepare or include the handover protocol.
• Document all payments (rent, service charges) (deposit).
• Send written request to the landlord (form).
• Set and confirm deadlines in writing (deadline).

If the landlord does not respond or claims are unjustified, the next step is to threaten legal action. The local district court (Amtsgericht) is usually competent as the first instance for tenancy disputes^[3].

FAQ

How long can the landlord withhold the guarantee?

The landlord may only retain the guarantee as long as justified claims exist; after completion of all statements the release must be requested.

What if the guarantor refuses to pay?

Check the guarantee agreement: often only certain claims are covered. In case of doubt seek legal advice and consider suing the landlord or the guarantor.

Can landlords simply charge the guarantee?

No, landlords must specify and prove concrete claims; blanket deductions are not permissible.

How-To

1. Step 1: Review the tenancy and guarantee agreement, mark relevant clauses.
2. Step 2: Compile handover protocol and payment receipts.
3. Step 3: Send written request to release the guarantee (deadline e.g. 14 days).
4. Step 4: If no response, call the landlord and document the feedback.
5. Step 5: If disputed, prepare a lawsuit at the competent district court.
6. Step 6: After judgment or settlement have the guarantee formally released.

Help and Support / Resources

• BGB: German Civil Code (gesetze-im-internet.de)
• Federal Court of Justice (BGH) – Decisions
• Justice Portal – Information on courts and jurisdictions

1. [1] Gesetze im Internet – German Civil Code (BGB)
2. [2] Gesetze im Internet – Code of Civil Procedure (ZPO)
3. [3] Federal Court of Justice (BGH) – Jurisdiction and case law